Individualism, Inequalities and Entrepreneurial Aspirations: Revisiting Results with GEM Data

Abstract

In order to foster entrepreneurship, which is the main factor for economic development, entrepreneurial aspirations on individuals need to be understood. These aspirations depend on both shared beliefs (national culture) and barriers at the country level. Existing results on the literature date back from a decade ago, and support that individualism affects entrepreneurial aspirations, moderated by the economic development and inequalities of the region. The present study updates the data set and uses a different approach to provide new results, which show that in underdeveloped countries entrepreneurial aspirations are negatively linked to individualism. In developed countries, however, entrepreneurship is not linked to individualism, but to inequalities. The implications of these results are discussed in the paper.